(Source: PR Newswire)

Despite the disturbing ski industry news last week that resort operator Intrawest ULC had missed a debt payment on a $1.4 billion loan, the ski business is holding its own in the midst of nationwide travel revenue declines. All signs point toward a modest 3% to 5% revenue drop for mountain resorts nationally, which compares favorably with travel industry trends.

The bad news on Intrawest, operator of venues for the 2010 Winter Olympics, was particularly alarming because it received a 60-day extension in October for the $524 million payment owed to creditors. Olympic organizers do not expect the games to be impacted by the situation at Intrawest, which is owned by private-equity firm Fortress Investment Group LLC. Intrawest’s Whistler Blackcomb in British Columbia, site of Olympic Alpine skiing events, and other Pacific Northwest properties have taken the early season lead on snow.

Read Ken Schapiro’s, President of Condor Capital, full report “Despite Intrawest’s Financial Woes, Ski Resorts Will Beat the Travel Industry Meltdown” in PR Newswire (December 30, 2009).

Background information:

Intrawest scrambles for cash, Toronto Star (December 24, 2009).

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